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Scholarship with Employment Opportunity

  • 1.  Scholarship with Employment Opportunity

    Posted 11-15-2019 11:18 AM
    Good Afternoon, 

    A hospital is willing to set up a scholarship fund.  They will not have any control on the selection process, however the gift agreement says that the recipients will have to work for the hospital for a specified period of time after graduation.  I understand that if it was an option for the student, we should be ok.  How about if is not, but rather a condition for them accepting the scholarship.  Does that constitute a benefit to the Hospital and thus set a quid pro quo and negates counting it as a gift?  If you have experienced this I would love to hear how you have worked it.

    Christopher Joyce
    Associate Director, Advancement Services
    Nova Southeastern University

  • 2.  RE: Scholarship with Employment Opportunity

    Posted 11-15-2019 11:50 AM
    This and variants have been discussed many times previously.  So please review the archives.

    The scholarship and employment must be completely separate else there is not a charitable gift.  The scholarship agreement can state that acceptance of the award grants you permission to share the name and contact information of the donor.  It can further state that they may subsequently reach out to consider an employment relationship.  However, accepting the award cannot be conditional on that employment - and that any employment arrangements are strictly between those two private entities.

    You will want legal advice on constructing this agreement.


    John H. Taylor
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987